Cost challenges for providing services
Dr. Rumpakis believes that the biggest financial challenge ODs will face is right there in their exam rooms.
“The biggest financial challenges for 2017 and beyond will lie within the analysis of the cost of providing professional services within the practice without the overlay of retail profitability,” says Dr. Rumpakis. “The shift to an outcomes-based payment system is going to provide significant challenges to offices that have not analyzed their internal costs of providing services.”
Related: 5 steps to creating a budget
Understanding the “true” cost of providing an annual episode of care for a specific ICD-10 diagnosis will also be a major hurdle, says Dr. Rumpakis.
“Those practitioners who can calculate the cost for an annual episode of care for their top 30 medical diagnoses treated at their practice will have the ability to make much smarter business decisions with resource allocation and categorical spending,” says Dr. Rumpakis. “This will ultimately result in a positive effect on a practice’s profit by understanding how to be efficient and effective in its care delivery.”